More About Allocation Wells

In a prior post, I wrote about a new development at the Texas Railroad Commission: granting permits for “allocation wells” – horizontal wells drilled across lease lines without pooling the leases. Since I wrote that post, our firm was retained to represent the parties protesting EOG Resources’ application for a permit for an allocation well. A hearing on the application was held at the RRC on December 3. In addition to EOG and the protestants, Devon Energy appeared at the hearing supporting EOG, and the Texas General Land Office appeared opposing allocation wells on State-owned minerals. All parties have now submitted closing statements and responses, which can be viewed below:

Our firm was also retained by the Texas Land and Mineral Owners’ Association and several mineral owners to file a petition for rulemaking with the RRC, asking the RRC to address the issue of allocation wells by commencing a rulemaking proceeding. The RRC has not yet responded. The petition can be viewed here: Rulemaking Petition.pdf

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